Singapore Man Jailed for Role in $8.8 Million Crypto Theft from SafeX Exchange

A Singaporean man, Zhang Xinghua, 38, has been sentenced to two years in jail for his involvement in the theft of over US$6.9 million (S$8.8 million) worth of cryptocurrencies from the SafeX Virtual Asset Exchange. The theft involved a conspiracy with two other men, and Zhang’s role included laundering a portion of the stolen funds using a cryptocurrency mixer.

The Conspiracy and Theft

According to court documents and reports from March 12, 2026, Zhang Xinghua, along with two accomplices – Singaporean Dai Yong, 36, and Singapore permanent resident Chen Chong Xin, 36 (who remains at large) – conspired to steal cryptocurrencies from SafeX. The Straits Times reported that the trio previously worked for King Coder, a company that managed platforms and accounts used by SafeX’s operator, DLT.

The relationship between the men and DLT’s director deteriorated due to disputes over SafeX, leading them to plan the launch of a competing trading platform. Chen Chong Xin allegedly gained unauthorized access to SafeX’s cryptocurrency vaults on three occasions between June and August 2025, transferring over US$6.9 million to various wallets. Lookonchain confirmed the amount stolen.

Laundering the Funds

Zhang Xinghua played a key role in laundering the stolen funds. He initially deposited over US$1.1 million into Tornado Cash, a cryptocurrency mixer, in July 2025, followed by another deposit of over US$523,000 the following month. Prosecutors stated that without police intervention, Zhang would have gained more than US$886,000 in cryptocurrencies.

Restitution and Police Action

Zhang Xinghua pleaded guilty to one count each of conspiracy to misuse a computer system and dealing with the benefits of criminal conduct on March 11, 2026, and was sentenced to two years in jail. He made restitution of 0.890262 bitcoin – worth more than US$95,000 – to a cryptocurrency wallet address provided by DLT in February 2026. The Singapore Police Force has seized and/or frozen approximately US$2.1 million worth of cryptocurrencies related to the theft.

Remaining Funds and Ongoing Investigation

Despite the police efforts, around US$4.8 million in cryptocurrencies remains unrecoverable, as it is held in private wallets and wallets maintained by virtual asset service providers outside of Singapore’s jurisdiction. Dai Yong’s case is still pending, while Chen Chong Xin remains at large. Undercoverist.org reported that the initial police report regarding unauthorized access to SafeX’s cryptocurrency wallet was made on August 22, 2025.